With new plant, Gardenia eyes more Mindanao sales

Font Size

GARDENIA BAKERIES Philippines, Inc. inaugurated its fully automated bread-making plant in Tagoloan, Misamis Oriental on Thursday. — REICELENE JOY N. IGNACIO

TAGOLOAN — Gardenia Bakeries Philippines, Inc. expects stronger sales in Mindanao, after the inauguration of its bread-making plant here on Thursday.

“We will aggressively magnify our bread distribution coverage and expand our market development efforts to ensure that Gardenia products will be available and easily accessible across various distribution channels in Mindanao,” Simplicio P. Umali, Jr., Gardenia President, said in his opening remarks.

Gardenia’s new facility, which features fully automated bread-making machines, can manufacture 130,000 loaves and buns a day. It is located within the PHIVIDEC Industrial Estate in Tagoloan, which is near Cagayan de Oro.

Mr. Umali said the plant started operations last September. “The Mindanao expansion [costs] P1 billion for the whole production which includes the trucks,” he told reporters.

“We are now bringing Gardenia breads closer to our consumers with the opening of our newest plant. With our current distribution capabilities, Gardenia is available in Davao, Cagayan de Oro, General Santos, Surigao and Zamboanga del Norte, Butuan and Kidapawan but we will intensify our market penetration and saturation to widen our network, and eventually reach every corner of Mindanao,” Mr. Umali added.

Mr. Umali said Gardenia uses flour sourced from Pilmico Foods Corp. He said the company is looking at launching pineapple buns, which will use locally grown pineapples.

“We work with the local companies and we make sure we buy from them,” he said.

Gardenia will also explore the possibility of using cassava flour, which is produced in Mindanao. “We would have to study the cassava (flour), how good the supply is….We have to look at the taste,” he said.

Gardenia is also set to start full operations at its P2-billion plant in Pampanga this year. The company also has plants in Laguna, Tarlac, and Cebu.

With the expansion, Mr. Umali said Gardenia is expecting a 35% jump in its sales this year from P6.6 billion generated in 2018. — Reicelene Joy N. Ignacio